Renewable energy for dairies is now a reality, after Enel Green Power and HP Hood signed a virtual power purchase agreement, for the next 12 years. Companies announced the signing of the deal this Wednesday.
Firstly, this VVPA will make HP Hood one of the only dairy companies in the U.S. to execute such a contract. After the agreement HP Hood will purchase the electricity delivered to the grid by a 25 MW portion of Enel Green Power’s Azure Sky Wind project in Texas.
Secondly, the agreement is the first one for Hood, regarding renewable energy. It comes as the company celebrates its 175th year with continued innovation, growth, and a renewed interest in sustainability.
Thirdly, over the life of the contract, Enel Green Power, through the Azure Sky Wind project will generate approximately 90 gigawatt hours (GWh) of renewable energy annually; this will address approximately 33% of the electricity used across all 13 of Hood’s owned manufacturing facilities in 2020.
Moreover, this VPPA is a milestone in Hood’s sustainability plan; which is not new. Since 2011, Hood has disclosed its annual greenhouse gas emissions to the Carbon Disclosure Project; it has also embarked on a 1.8-megawatt solar field project in Western MA; as well as it has installed a cogeneration plant to reduce their carbon dioxide emissions.
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Renewable Energy to advance dairy industry in sustainability goals
In addition, the company’s Agawam plant was also the first fluid dairy processor to be awarded Energy Star certification. Consequently, the signing of this VPPA brings Hood one step closer in its participation in the dairy industry commitment to become carbon neutral by 2050.
On the other hand, about the relevance of the partnership; Georgios Papadimitriou, Head of Enel Green Power in the US and Canada, said. “Companies like Hood are turning to renewable energy as an immediate and cost-effective way to help achieve their sustainability goals; creating value for their business and customers alike.”
Furthermore, Hood President and CFO Gary Kaneb, remarked. “At Hood, sustainability means evolving and developing our business for the long-term. This VPPA is an important investment in our future and also a significant step in reducing our climate impact.”
Finally, he concluded. “We believe sustainability strengthens relationships and also consumer trust; and we are committed to the environmental actions to help us achieve that vision.”